The U.S. Customs and Border Protection (CBP) issued a statement on its official website on Monday (September 14), banning the import of cotton, clothing, real hair products, computer parts and other goods from six Chinese companies or institutions. This move is mainly aimed at the Xinjiang issue. It is reported that the Trump administration has temporarily shelved the comprehensive ban on cotton and tomato products in China’s Xinjiang region, saying that it is still in the process of study.
United States Customs and Border Protection today issued five Withhold Release Orders (WROs) against Chinese products, believing that the products subject to WROs were produced with forced labor.
CBP Acting Commissioner Mark Morgan also said in a statement that today’s order sends a clear message to the international community, “that we will not tolerate forced labor in U.S. supply chains. illegal, inhumane and exploitative practices.”
(Source: US CBP official website)
According to the statement, the export ban will involve the following Chinese institutions:
1. All products from the Fourth Vocational Skills Education and Training Center in Luobu County, Xinjiang;
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2. Hair products in Luobu County Hair Products Industrial Park;
3. Xinjiang Yili Zhuowan Garment Manufacturing Co., Ltd. and Baoding LYSZD Trading Clothing produced by the Co., Ltd.;
4. Cotton produced and processed by Xinjiang Junggar Cotton and Linen Co., Ltd.;
5. Anhui Hefei Bao Computer parts produced by Bitland Information Technology Co., Ltd.
The so-called detention and release order allows the U.S. Customs and Border Protection to detain goods and products suspected of forced labor. This is a long-standing U.S. effort to combat human trafficking, child labor and other human rights violations. law.
Last week there was news that the US government is about to announce bans on all cotton and tomato products produced in Xinjiang, but the relevant bans are currently on hold pending further research. and discussions were replaced by export bans imposed on some relevant entities.
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Special Trump: Attack Xinjiang cotton! Consider banning some or all products made from Xinjiang cotton!
According to a report by the New York Times on September 7, three people familiar with the matter revealed that the Trump administration is considering a ban on products made from cotton from China’s Xinjiang region. Potential bans on some or all products may be issued as early as Tuesday (8th) local time. People familiar with the matter said that the reason given by the United States is still the so-called “forced labor and human rights violations” in Xinjiang.
Currently, the scope of the ban is unclear. It is unclear whether the ban will cover all cotton products shipped from Xinjiang or elsewhere in China, or whether it may be expanded to contain Xinjiang cotton and come from Products shipped from third countries.
Report screenshot: Due to so-called “human rights” concerns, the United States may impose a ban on Xinjiang cotton
The report pointed out that the Trump administration’s measure is called a “Withhold Release Order” and will be issued by the U.S. Customs and Border Protection (CBP). Citing the alleged existence of “forced labor” in Xinjiang, the bureau has issued such bans on some private companies in the past and detained relevant imported products. And the bureau has been considering more comprehensive action across a wider range of commodity categories. Currently, U.S. Customs and Border Protection has not responded to this request.
In July this year, the Trump administration also blacklisted several clothing companies, preventing these companies from purchasing American products. The list includes suppliers to some of the major international clothing brands such as Ralph Lauren, Tommy Hilfiger and Hugo Boss. Several Chinese companies and the major international brands they supply have expressed opposition to these moves and stressed that there is no so-called “forced labor” or other “labor abuses” in their supply chains.
In the same month, the U.S. Department of State, Department of Commerce and others jointly issued the “Xinjiang Supply Chain Business Advisory Announcement”, warning companies not to allow supply chains to interact with so-called “human rights violations” entities in Xinjiang and other places. Contact occurs.
Xinjiang, China, is known as the “Hometown of Cotton” and is the main cotton producing area in the country. According to data from the National Bureau of Statistics, Xinjiang’s cotton output reached 5.002 million tons in 2019, accounting for 84.9% of the country’s total output. The total cotton output, unit yield, planting area, and commodity allocation volume ranked first in the country for 25 consecutive years. China’s position in global cotton production, consumption and trade is also very important. According to statistics from the China Cotton Association, from 2014 to 2018, my country’s average cotton planting area was 50.02 million acres, and the average output was 5.68 million tons, accounting for 23% of global output.
The “New York Times” pointed out that any move by the Trump administration to block (Xinjiang) cotton imports will��, may have a huge impact on global apparel manufacturers. At the same time, this new ban may also cause some large clothing brands to withdraw from China. At a time when the United States is provoking trouble and causing tensions between China and the United States, some companies are seeking to move their clothing supply chains to places such as Vietnam, Bangladesh and Indonesia. However, some companies are finding it difficult to replicate China’s high-quality production model or face stiff competition.
Some American customers have made it clear that [Xinjiang cotton is banned in orders] or they may face returns!
In accordance with U.S. customs and border requirements, goods sent to the United States through all channels from now on must be labeled with “Made in China” on the outer boxes and products, otherwise they are not allowed locally. import!
The United States strictly inspects certificates of origin. For textile companies exporting, not only does it increase tariffs, but they may also face risks such as returns, confiscation of goods, or fines!
At the same time, according to feedback from some textile and apparel foreign trade companies in Shanghai, Jiangsu, Zhejiang and other places, recent U.S. buyers and retailers have requested that Xinjiang cotton not be used in orders (processors need to provide proof of cotton origin). This is mainly due to the U.S. Department of Commerce and the U.S. Department of Commerce in early July. The Ministry of Finance, the State Council and other departments issued the “Xinjiang Supply Chain Business Consultation Announcement”, claiming to strengthen Xinjiang-related export controls and sanctions.
The United States sanctioned 11 Chinese companies, including textile companies, in July
On July 20, the U.S. Department of Commerce added 11 Chinese companies “related to human rights violations in Xinjiang” to the list of sanctioned entities, including textile companies.
Blacklisted companies cannot purchase parts and components from U.S. companies without approval from the U.S. government.
The 11 Chinese companies that have been added to the entity list this time include: Changji Esquel Textile, Hefei Baolongda Information Technology, Hefei Meiling, Hotan Haolin Hair Accessories, and Hotan Taida Clothing , Jinchuang Group, Nanjing Xinyi Cotton Textile, Nanchang OFILM Technology, Carbon Yuan Technology, Xinjiang Silk Road BGI Technology, Beijing Liuhe BGI Technology. Secondly, it also includes suppliers of some major international clothing brands, such as suppliers of Ralph Lauren, Tommy Hilfiger and Hugo Boss.
Changji Esquel Textile was founded in 2009 by Esquel Group. Esquel makes clothing for Ralph Lauren, Tommy Hilfiger and Hugo Boss.
Several Chinese companies and the major international brands they supply have expressed opposition to these moves and emphasized that there is no so-called “forced labor” or other “labor abuses” in their supply chains.
Prior to this, the U.S. Department of Commerce’s Bureau of Industry and Security had listed 37 Chinese companies suspected of operating in Xinjiang in two lists, in October 2019 and June this year. “Violation of human rights”.
On the other hand, the “South China Morning Post” mentioned that China has sufficient “ammunition” to counter a potential ban because China is the main importer of US cotton. Trade data from the U.S. International Trade Commission shows that in the first seven months of this year, U.S. cotton-related exports to China increased by 62% year-on-year, and increased by 206% in July alone. David Birnbaum, a consultant to the Asian apparel industry, said, “People sometimes forget that China is the world’s largest importer of cotton. If the United States completely bans cotton textiles from Xinjiang, China will definitely retaliate immediately and may stop buying This would be a terrible outcome for American cotton.”
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